Terminal illness
A physician certifies a condition expected to shorten life within the period defined by the rider.
All life insurance options
INDEXED UNIVERSAL LIFE · FLORIDA
Understand IUL before choosing a policy.
Start with the life insurance protection you need. Then look closely at how cash value, costs and policy conditions work together.
01 / LIVING BENEFITS
When can life insurance help while you are living?
Some policies include accelerated benefit riders. After a qualifying event, you may request an early payment from the death benefit. Each rider has its own medical requirements and limits.
Five situations to understand
Chronic illness
A licensed professional certifies inability to perform 2 of 6 daily activities for the required period, or qualifying severe cognitive impairment.
Critical illness
Qualifying events may include covered cancer, heart attack or stroke. The rider defines the full list.
Critical injury
Qualifying events may include coma, paralysis, severe burns or traumatic brain injury.
Alzheimer’s disease
An eligible dementia diagnosis requires specialist certification and the cognitive findings in the rider.
How an accelerated benefit works
- 01Qualifying event
- 02Medical documentation
- 03Insurer reviews the claim
- 04Discounted advance; lower policy values
The Florida ABR forms described here list no additional rider premium, but an administrative fee may apply when a benefit is used. The payment is less than the death benefit portion accelerated and reduces the remaining death benefit and cash value. Taxes or public-assistance eligibility may be affected. Confirm the current rider and terms with the issuing insurer.
Read the insurer’s explanationThese are examples of Florida rider types. Your policy and issuing insurer determine which riders apply. They are not health or long-term care insurance.
02 / LOANS & WITHDRAWALS
Accessing cash value changes the policy.
Loans and withdrawals can reduce cash value and the death benefit. Loans accrue interest; outstanding debt and reduced value can affect the policy’s ability to stay in force. A lapse or surrender with a loan may have tax consequences.
Request an explanation of the loan terms and their effect on your policy. Consult a qualified tax professional about your circumstances; tax treatment is not guaranteed by this website.
A VISUAL GUIDE TO POLICY LOANS
See the path from premiums to a possible loan.
This is one possible use of an IUL, depending on the policy and its available value. It is an insurance policy, not a bank account.
01
1. Add premiums within policy limits
Additional premiums can help build policy value. The amount and timing must stay within contract and tax limits.
Premium paymentsIllustrative value path
Concept only, with no dollar scale. Charges, credited interest, loans and withdrawals can change the actual value, including downward.
02
2. Request a policy loan
With sufficient available cash surrender value, you may borrow from the insurer using that value as collateral. The insurer charges interest. Available value and the death benefit can decrease while debt remains.
03
3. Choose how to use the proceeds
A policy loan may be used for different expenses. These scenes show examples, not approved loans or guaranteed results.
04
4. Decide how to repay
Depending on your policy terms, you may repay the loan at any time, in part or in full. Unpaid interest can increase the debt. Review the balance and the policy each year.
- Loan taken
- Balance being repaid
- Loan repaid
Can the loan cost be offset?
Some loan types allow collateral to continue receiving interest credits. Those credits may offset some loan interest; they do not make every loan interest-free. A true wash-loan feature, where offered, matches the credited and charged loan rates under its terms.
Illustrative education only. The contract, issuing insurer and current in-force illustration determine available loan types, rates, values, tax classification and effects on coverage.
IUL POLICY REVIEW
Before using IUL value, review the loan.
A policy may allow a loan secured by available value. Review interest, charges and the effect of debt on policy value and the death benefit before requesting one.
Loan still to evaluateTerms reviewedDrag the line to compare the scenes.
Illustrative scenes. Coverage depends on each policy and its terms.
Is an IUL a “personal bank”?
That phrase describes one possible use of policy loans; an IUL is a life insurance policy, not a bank account. The insurer lends against sufficient available cash surrender value under the policy terms. Interest accrues. Outstanding debt can reduce available value and the death benefit, and may require additional premiums to keep coverage in force.
If a policy lapses or is surrendered with debt, tax consequences may arise. A modified endowment contract may have different tax treatment. Review the contract and current in-force illustration, and ask a tax professional about your situation. A mutual company is not required for a policy loan.
03 / THE BASICS
Life insurance, with more to understand.
Indexed universal life (IUL) is a type of permanent life insurance. It combines a death benefit with potential cash value. Interest may be credited using a formula linked to a market index, according to the contract.
You are buying an insurance policy, not investing directly in an index or buying a bank account. IUL does not guarantee retirement income.
04 / HOW IT WORKS
Look at the whole policy.
Premiums
Payments help fund the policy. Flexible premiums still need to be sufficient to support the coverage.
Death benefit
The amount payable to beneficiaries under the contract, subject to policy terms and any outstanding policy debt.
Cash value
A policy value affected by premiums, credited interest, charges, loans and withdrawals.
How interest is credited
An indexed strategy uses the policy’s formula to calculate interest. Caps, participation rates or other limits may affect the credit. Review which terms are guaranteed and which the insurer may change.
05 / COSTS & CONDITIONS
Understand what keeps the policy in force.
- Policy charges
- Ask about the cost of insurance, administrative expenses, rider charges and any surrender charges. Review how charges may change over time.
- Sufficient funding
- Paying the planned premium may not always be enough. Additional payments may be required, and insufficient value can cause coverage to lapse.
- Guaranteed vs. illustrated
- Ask to see guaranteed and non-guaranteed values separately. An illustration shows assumptions, not a promise of future results.
- Regular reviews
- Review policy statements and request an updated in-force illustration to see how the policy is performing against its assumptions.
06 / THE INSURANCE GROUP
Who stands behind the policy?
National Life Group is a trade name used by affiliated insurers. Its parent, National Life Holding Company, is a mutual insurance holding company. National Life Insurance Company converted to a stock insurer in 1999 within that structure. The issuing insurer named in the policy is responsible for its contractual obligations.
The issuing company for any product discussed here must be confirmed in that product’s documents. The group’s mutual holding structure is not a condition for requesting a policy loan.
07 / YOUR CONVERSATION
Bring these questions to your review.
- What protection do I need, and how does IUL compare with other options?
- What premium can I sustain, and when could I need to pay more?
- Which charges and values are guaranteed? Which can change?
- What happens if interest credits are lower than illustrated?
- How would a withdrawal, loan or early surrender affect my coverage?
- How often should we review the policy?
COMMON QUESTIONS
Common questions about IUL
Is IUL right for everyone?
No. Suitability depends on your need for life insurance, budget, time horizon and ability to maintain the policy. Compare it with other coverage options before deciding.
Does an illustration guarantee future cash value?
No. Review the guaranteed values separately from the non-guaranteed assumptions. Ask how lower interest credits or higher charges could change the policy’s performance.
Can I stop paying premiums?
Do not assume that you can. Flexibility depends on the contract and whether the policy has enough value to cover its charges. Review the policy before reducing or stopping payments.
Does requesting information mean I am approved?
No. Coverage and approval depend on the insurer’s application and underwriting requirements, the policy and applicable rules.
LET’S TALK
Let’s put your IUL questions in context.
Start with your responsibilities, your budget and the protection you need. We provide IUL guidance in Florida.
WhatsApp opens with a suggested message. You decide whether to send it. An appointment is confirmed only after we coordinate it with you.
Your contact
Jorge Troconis
JR Group Insurance
English & Spanish